Vendor decides to pull out, need help

minirisks

I am a first time buyer with mortgage. I made an offer to a property in early June. The vendor sent the contract to our solicitor at the end of June. My solicitor reviewed it and came up with initial enquiries this week. The biggest concern we had was whether the property is share of freehold. EA promised the property will be sold as “share of freehold plus a 999-year lease”, but the contract only mentioned the lease rather than the share of freehold.

After we sent the enquiries to the vendor’s solicitor, I received an email from EA that the vendor threatens to pull out unless we can exchange the contract next week because he is concerned that I cannot get the mortgage. My mortgage broker has already emailed EA that the approval is expected to be made in August (the bank we chose take longer time for approval than other banks)

I’ve already paid 400GBP for search fees and 3500 GBP for broker. What can I do in this situation?

gaz_moose

sounds like your seller is a bully.

HampshireH

Sounds like your vendor is looking for an excuse.


But....£3.5k for a broker in fees:eek:

eddddy

minirisks wrote: »

What can I do in this situation?

Explain to the EA what is happening.

• Say that your solicitor is waiting for a reply from the seller's solicitor regarding the 'share of freehold'.

• Ask the EA to ask the seller to chase-up their solicitor to give a reply.

• Explain that your mortgage application is progressing well. (Invite the EA to contact your mortgage broker to check, if you and the broker are happy with that.)

[Deleted User]

£3500 for broker fees??? Someone saw you coming!!

minirisks

Part of my income are from overseas companies. And many documents needs to be translated and notarized. That’s the reason why the broker fees are high.

AdrianC

minirisks wrote: »

I received an email from EA that the vendor threatens to pull out unless we can exchange the contract next week because he is concerned that I cannot get the mortgage. My mortgage broker has already emailed EA that the approval is expected to be made in August (the bank we chose take longer time for approval than other banks)

I’ve already paid 400GBP for search fees and 3500 GBP for broker. What can I do in this situation?

Find a different lender, one that doesn't take so long as to pee the vendor off...?

BTW, your thread title is misleading. The vendor hasn't decided to pull out. They're just giving up waiting for your finances.

minirisks

Is one month too long to arrange the finance? I’ve learned that the purchase process usually takes about 3 months?

csgohan4

minirisks wrote: »

Is one month too long to arrange the finance? I’ve learned that the purchase process usually takes about 3 months?

mortgage offer shouldn't take more than 1 month, the buying process includes solicitor enquirers searches e.t.c

As a vendor and you offered in June and still haven't had a mortgage offer I would have re marketed.

Lease problems aside, your vendor is also getting impatient understandably.

sadly unless you have exchanged all your fees are yours to bear. You could argue it's the vendors fault for not clarifying regarding the lease, but the solicitors should have been able to deal with this

I hope you don't need to spend another 3.5k on another mortgage application

minirisks

Unfortunately, it took almost one month for me to prepare the mortgage documents after I received the agreement in principle in June. As I said, many documents needed to be translated and notarized. We formally submitted the mortgage application in early July, and the bank would make decision in August.

AdrianC

So two months from mortgage app to decision. Not really the vendor's fault, is it? No wonder the poor sod's a bit miffed.

By contrast, there's another thread today where somebody's taken two months from putting the place on the market to completion.
https://forums.moneysavingexpert.com/discussion/6027109/quick-sale-good-news-story